The revenues from the overall agriculture equipments market increased at a CAGR of over 11.1% during 2010 to 2015. The Influence of weather and climate, farmer decision making and technology, prevalence of severe drought, the falling price of rice and the adverse impact of global warming have resulted in changing cropping patterns in Thailand. The oversupply of rice with the government of Thailand due to the rice pledging scheme had caused the price of rice in the international marker to fall.
The government of Thailand has provided subsidies to farmers in the form of price intervention policies. Apart from this, banks such as Kasikorn and BAAC provide loans with special interest rate for farmers that desire agriculture loans. In addition to this, manufacturers of agricultural machinery provide flexible lease purchase options to the farmers with competitive interest rate, depending on tenure and payment plan.
Mechanization has played a significant role in increasing agricultural production by completing farm operations in time, reducing cost of production and increasing crop intensity. Mechanization has become a way out for the development of modern agricultural production system in Thailand. It initially started in the central region and then expanded to other regions. With respect to land preparation, Thailand has a mechanization level of 90% but in the case of harvesting, only 55% is mechanized.
“According to Research Analyst at Ken Research, a major thrust area where none of the manufacturers of agricultural equipments have focused on is the rental custom hiring market in Thailand. Most manufacturers provide finance options that include only lease purchase agreements. There is evidence of an increasing need for high end equipment among most farmers but the lack of businesses providing machinery on rent have inhibited farmers from obtaining maximum productivity from agricultural produce. Hence, existing and new players penetrating the agricultural machinery market should take notice of the rental hiring scenario in Thailand as it appears to be a budding lucrative market.”
The report titled “Thailand Agricultural Machinery Market Outlook to 2020 – Changing Labour Force Pattern and Improving Credit Environment to Shape Future Growth” provides an inclusive analysis of the Agricultural Equipment Market in Thailand and will help the readers to identify the ongoing trends in the industry and anticipated growth in future depending upon changing industry dynamics in coming years. The report will help industry consultants, agricultural equipment manufacturers, dealers, potential entrants and other stakeholders to align their market centric strategies according to ongoing and expected trends in the future.
For more details visit: https://www.kenresearch.com/agriculture-and-animal-care/agriculture-equipment/thailand-farm-equipment-implements-market/25252-104.html